Open TurboTax

Why sign in to the Community?

  • Submit a question
  • Check your notifications
or and start working on your taxes
Announcements
Your taxes, your way. Get expert help or do it yourself. >> Get started
Close icon
Do you have a TurboTax Online account?

We'll help you get started or pick up where you left off.

cancel
Showing results for 
Search instead for 
Did you mean: 
janiceroberts
New Member

If I take out a loan against my 401K for 20,000$, and then leave the company I am with, and choose to keep the loan instead of paying back, how much would I owe in taxes?

 
1 Reply
Bsch4477
Level 15

If I take out a loan against my 401K for 20,000$, and then leave the company I am with, and choose to keep the loan instead of paying back, how much would I owe in taxes?

That amount would be income and taxed at your tax rate plus you would have a 10% early withdrawal penalty on that amount.

About Community

Learn about taxes, budgeting, saving, borrowing, reducing debt, investing, and planning for retirement.

3.48m
Members

2.6m
Discussions

Manage cookies
v